Financial details were not disclosed.

The 97-room hotel, located nearby to the newly re-developed St James Centre, will undergo a full refurbishment before being re-launched in March 2022.

Matt Lederer, hotel acquisitions director for Castleforge Partners commented: 'We are thrilled to add the Crowne Plaza to our portfolio of hotels.

'It is in a prime location in one of the most exciting areas of Edinburgh and we are looking forward to working with Axiom and IHG Hotels & Resorts to bring the best out of this hotel for guests, staff and investors alike.

'Now is a particularly exciting time to be investing in hotels as the tourism industry shows signs of recovery from the pandemic and we will continue to seek exciting investment opportunities in this space.'

This is the third hotel investment Castleforge has made this year, as the firm continues to strengthen its portfolio in the hospitality sector.

In May, Castleforge announced the acquisition of the Bruntsfield Hotel in Edinburgh, shortly followed by the purchase of the Hilton Hotel in Cardiff in June. Castleforge has appointed Axiom Hospitality to manage all three assets.

Since its inception in 2010, Castleforge has invested approximately £1 bn, gaining a reputation for value-add investment in office and residential real estate across the UK and Europe.

In 2020, the firm signalled its intentions to expand into the hospitality sector with the appointment of Matt Lederer from Marriott International as its Hotel Acquisitions director.

Alex Pritchard, co-CEO of Axiom Hospitality said: 'We are pleased to be working with Castleforge once again on their latest hotel acquisition, particularly in Edinburgh as it is known for having some of the most sought-after hotels in the world.

'We are looking forward to repositioning the hotel, making it an exciting place to work, and welcoming guests from across the UK and abroad.'

Kerr Young, director at JLL added: 'We are pleased to have been able to facilitate an off-market sale of the Crowne Plaza, Edinburgh. This is the fourth hotel transaction JLL have brokered in Edinburgh during 2021 and is yet further evidence on the long-term confidence investors have in the sector.'

Property and investment management group JLL advised on the deal.